Key Takeaways
- Utah law does not require an LLC to have an operating agreement. However, it is highly advisable to create one to establish internal operations, ownership structure, and member responsibilities, minimizing potential conflicts.
- Utilize our free Utah LLC Operating Agreement template to ensure compliance with state laws.
- To form an LLC in Utah, you’ll need to file a Certificate of Organization with the Utah Division of Corporations and Commercial Code, appoint a registered agent, and satisfy the necessary filing fee.
Utah LLC Operating Agreement Templates by Type
Single Member LLC
Basic Single Member LLC Operating Agreement
Used 4,920 times
Are you required to uphold your limited liability corporation status in accordance with state law? If the business is sued, the owner’s assets may be safeguarded by this agreement.
Use Basic Single Member LLC Operating AgreementUse this operating agreement template in Utah when there is only one owner of the LLC.
Multi Member LLC
Multi-Member LLC Operating Agreement Template
Used 4,872 times
Ensure that your newly formed LLC is run the right way by having a multi-member operating agreement in place.
Use Multi-Member LLC Operating Agreement TemplateUtilize this operating agreement template in Utah when multiple individuals or entities co-own the LLC.
50/50 LLC
50/50 LLC Operating Agreement Template
Used 4,872 times
This free 50/50 LLC Operating Agreement template for businesses with equal ownership.
Use 50/50 LLC Operating Agreement TemplateUse this operating agreement template in Utah when two partners equally share ownership within the LLC.
Member-managed LLC
Member-Managed LLC Operating Agreement Template
Used 4,919 times
A manager is chosen by the firm owners to oversee day-to-day operations in a manager-managed LLC. Use this Member-Managed LLC Operating Agreement Template right away.
Use Member-Managed LLC Operating Agreement TemplateOpt for this operating agreement template in Utah when the LLC’s management responsibilities are delegated to appointed members.
Legal Requirements
- While it’s not a legal obligation under Utah’s § 48-3a-112 to have an Operating Agreement, it’s highly recommended for both single-member and multi-member LLCs.
- An Operating Agreement is crucial for single-member LLCs to maintain their corporate veil and establish proof of ownership.
- On the other hand, multi-member LLCs benefit from an Operating Agreement as it provides operational guidance, outlines voting rights, and clarifies contributions.
- The state’s regulations for Limited Liability Companies oversee their establishment, functioning, and termination.
How to Form LLC in Utah
Creating a Limited Liability Company requires a series of steps. Below is an essential guide on how to carry it out:
Choose a Business Name:
- Select a unique name for your LLC. The company’s name should contain “Limited Liability Company,” “LLC,” or a comparable abbreviation.
- You can check the availability of your desired business name using the Utah Division of Commerce and Commercial Code’s business name search engine.
File Articles of Organization:
- You must file the Articles of Organization with the Utah Division of Corporations & Commercial Code. The filing fee is $70.
Use a Filing Service:
- You can use a filing service to help you with the paperwork and ensure all necessary documents are correctly filed.
Appoint a Registered Agent:
- A registered agent is required for registering a Limited Liability Company in this state.
Draft an Operating Agreement:
Although not legally required in the state, having an Operating Agreement for your Limited Liability Company is highly recommended.
Obtain an Employer Identification Number (EIN):
- An EIN is necessary for tax purposes for your Limited Liability Company.
Open a Bank Account:
- Opening a separate bank account for your LLC is crucial for managing your business finances.
Apply for a State Tax Account:
- Depending on the nature of your business, you may need to apply for a state tax account.
Obtain Applicable Business Licenses and Permits:
- Depending on your business type, you may need to obtain specific business licenses and permits.
Utah LLC Laws
- No State Income Tax: The state LLCs are considered “pass-through” entities for tax purposes, meaning the company doesn’t pay income taxes. Instead, the profits and losses are passed to the Limited Liability Company owners, who report them on their income tax returns.
- Annual Reporting Requirements: The state requires LLCs to file an annual report with the Division of Corporations & Commercial Code. The report is due on the last day of the month of the business anniversary.
- Registered Agent Requirement: The registered agent must be at least 18 years old and have a physical address within the state.
- Foreign LLC Registration: A foreign LLC formed outside of Utah but wishes to conduct business in the state must register with the Utah Division of Corporations & Commercial Code.
- Real Estate Considerations: If a Limited Liability Company owns real estate in Utah, it’s essential to understand the state’s real estate laws. These laws govern everything from property transactions to landlord-tenant relationships and can significantly impact a property owner’s rights and obligations.
- Employment Laws: The state employment laws impact the daily lives of employees and employers in Utah. These laws govern everything from wage and hour laws, hours worked laws, wage payments laws, leave laws, child labor laws, and many more.
